An increase of more than 35 percent in fire protection services is included in the proposed Kasson Township budget for 2008-09, and will be one of several issues discussed at the Annual Meeting of township inhabitants Saturday.

Expenses for the upcoming budget year beginning April 1 are estimated at $261,350, which is 4.5 percent higher than this year’s amended budget. Much of the rise is due to a significant increase in contracts for fire and rescue services that Kasson has with Empire Township and the Cedar Fire Department.

This year, Kasson paid Empire Township $40,000 to cover the western portion of the township, and $43,000 was paid to the Cedar Fire Department to cover the easternmost portion of Kasson. For 2008-09, the township board has budgeted $123,000 for the fire departments.

Earlier this month, Empire Township Supervisor Bill Bolton and trustee Carl (Bucky) Noonan approached Kasson board members to update them on efforts to establish a 24/7 full-time paid fire and rescue department. The initial plan is to have two full-time paid firefighter/emergency medical technicians at the Empire fire hall 24 hours a day, seven days a week, with the existing paid part-time members supplementing the full-time roster.

In 2000, Empire Township voters approved a 10-year property tax to fund fire and rescue services. The township was given the authority to levy up to 5 mills each year of the millage to cover the costs of operating and maintaining the fire department and to cover the township’s portion of a contract with the Glen Arbor EMS to provide ambulance service to the township. Because of the Headlee amendment to the state Constitution, however, Empire was only able to levy 4.25 mills in 2007, which generated $625,000.

The significant increase in fire protection costs represents the lion’s share of the proposed budget, which is up $11,800 from the amended budget for the current budget year that concludes March 31.

Another area of increasing expense to the township has been legal fees. In 2006-2007, the township’s actual cost in the area was $142,656 when the township was involved in a major lawsuit defending its gravel extraction and mining ordinance. The township has appealed a Circuit Court decision involving he ordinance to the state Court of Appeals, which heard arguments earlier this month. It is estimated the appeals court decision will be released in 30 to 60 days.

Nearly half of the township’s estimated $219,027 in income for next year comes in the form of state shared revenue at $108,000. Another $50,000 is expected to be generated through the township’s allocated 1/2-mill. Unlike other townships, Kasson receives a landfill impact fee because the regional landfill operated by Waste Management, Glen’s Landfill, is located within the township. Some $35,000 in revenue is expected to flow into township coffers as a result.

Years ago, the impact fee covered a significant portion of the township’s bills for fire protection, but that’s no longer the case.

Township officials are not seeking an increase in compensation in 2008-09. Barring action by those attending Saturday’s Annual Meeting, salary levels will be $8,200 for township Supervisor Fred Lanham, $12,300 for Clerk Kathlyn Feys, and $11,800 for Treasurer Beth Noonan $11,800.
To balance revenue and expenditures, township officials plan to dip into the fund balance for $42,322. As a result, the township nest egg will drop to $67,967 by year’s end.